We've seen a number of studies recently underscoring the precarious state of small business.  But, a new one reveals some stunningly bad news about not just small firms' ability to survive the downturn, but the effect all the stress has had on owners' personal savings and health.

Where to start? How about with the worst. According to the study, from consulting firm George S. May International of 713 owners of businesses with $500,000 to $200 million in revenues, 27 percent of respondents indicated they lack the financial resources to last the next quarter. Eighty percent give their business nine months to live if economic conditions don't improve. Another 16 percent won't make it another three months under those circumstances and 4 percent think they can make it six months.

What have these struggling businesspeople been doing to survive? According to the study, they've tried a range of desperate and, ultimately, harmful measures. Most notably, 41 percent have not taken a salary to keep the company running. And 20 percent have borrowed from their 401 (k)s for living expenses, in line with other reports about such borrowing among the population in general. For example, according to recent research from Hewitt Associates, hardship withdrawals were up 20 percent last year. 

 Then, there are health considerations, which, of course, also undoubtedly hurt the bottom line. 52 percent experienced negative health effects. That includes 28 percent who have had physical problems, 28 percent with emotional issues, and 44 percent with both.   Such effects, surely, can only further impair owners' ability to lead their companies effectively, while also adding to their health care costs.

 These are unsettling findings, to say the least.  If, as many economists predict, we enter a double-dip recession--something a considerable number of small business owners fear, as reported by a recent study from American Express--then these businesses will be in real trouble.  As we all will be.